1. YAN DI
President -
CEO - Baidu Brasil
What
China
Taught Us
about
Internet ∙ 互联网

2. Size Does Matters

3. 40% Top 10 Internet Players/Unicorns are China-Based

4. China is No.1 Market of Internet
111.00137.00
210.00
298.00
384.00
457.30
513.10
564.00
617.58
648.75
688.26
8.5%
10.5%
16.0%
22.6%
28.9%
34.3%
38.3%
42.1%
45.8%
47.9%
50.3%
0%
10%
20%
30%
40%
50%
60%
0.00
250.00
500.00
750.00
1000.00
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
Internet users (million)
Internet penetration rate
By the end of 2015, Chinese netizens
reached 688 million.
Source: CNNIC – The 37th Statistical Report of
Chinese Internet
2 x Bigger
Than That
of USA

5. China is No.1 Mobile Player
519.7
574.2
624.7
672.1
704.1
38.3%
42.2%
45.7%
49.0%
51.1%
0%
10%
20%
30%
40%
50%
60%
0
200
400
600
800
2014 2015 2016e 2017e 2018e
China Smartphone User Size
& Population Penetration
Smartphone users (Million) Penetration rate (%)
Source:
Almost All
Netizens
Are Mobile

6. China is No.1 Mobile Payment Market
Last year mobile
transactions of $235
billion, pushing China
ahead of the U.S. ($231
billion).
Data by WSJ
2016 195MM
Chinese use
mobile payment
vs. 37.5MM in US.

7. China is No.1 E-Commerce Body
6
7.85
10.2
13.4
18.3
22
30.8%
29.9%
31.4%
36.6%
20.2%
0%
5%
10%
15%
20%
25%
30%
35%
40%
0
5
10
15
20
25
2011 2012 2013 2014 2015 2016e
China E-commerce Market Transaction Size
Total transaction value (RMB, Trillion) Growth rate
Source: http://money.163.com/16/0517/16/BN9GPRUG00253B0H.html
Alibaba Sold More in a
Single Day
(11/11/2015) than
Brazilian E-Commerce
in a Year: R$45.6 bi vs.
R$41.3bi

8. China has Top Venture Funding Power
U$60.5B &
4489 Deals
in Total
Source:TechAsia

9. Something Unique

10. Welcome to a Different World

11. BAT Bigger than the Rest of Top 30
Ranking TOP 30 por receita via Internet móvel 2015
No. Empresa
Receita 2015
Internet móvel
（RMB 100milhões）
Usuário Internet
móvel
(10milpessoas)
No. Empresa
Receita 2015
Internet móvel
（RMB 100milhões）
Usuário Internet
móvel
(10milpessoas)
1 Tecent 447.0 62,095 16 Cheetah Mobile 24.3 7,767
2 Alibaba 425.0 30,232 17 Sina.com 23.3 13,316
3 Baidu 351.8 43,211 18 58.com 23.2 2,238
4 JD 149.0 4,004 19 Vgame 22.8 398
5 VIP.com 84.1 2,827 20 Longtu Game 21.0 266
6 NetEase 83.9 7,188 21 iQIYI 21.0 18,113
7 Ctrip 76.6 713 22 UCAR Inc. 17.1 130
8 Meituan-Dianping 58.5 7,391 23 YHD.com 16.9 342
9 Sohu 39.6 13,697 24 iDreamSky Games 16.4 3767
10 Qihoo360 35.5 19,216 25 Jumei.com 15.5 844
11 Youku-Tudou 31.7 14,686 26 Zuche.com 15.5 34
12 Xiaomi 26.0 7,233 27 Kunlun.com 14.7 904
13 Qunar.com 29.5 1,086 28 Google China 13.7 /
14 Amazon China 26.2 385 29 Kingnet.com 13.0 57
15 ELEX 24.6 119 30 BlueFocus 12.0 /

12. BAT Omnipresence Leads to
the Rise of SuperApp/OS/Platform
Vídeos
生活
Finanças
健庩
音乐
Educação
Carro
Compras
Turismo
赸级
APP
172
177
207
180
306
329
494
583
157
141
0 200 400 600 800
Sogou Pinyin
Baidu maps
Baidu mobile
Taobao
UC browser
QQ browser
TencentVideo
Wechat
QQ
AliPay
Índice de conectividade com
aplicativos móveis TOP 10 em 2015
Índice de Conectividade: representa a capacidade de um aplicativo móvel em estabelecer ligações com outros aplicativos. Mede-se a
quantidade de relacionamentos de um aplicativo com todos os outros, quanto maior o número, mais forte a conectividade.
Posicionamento OS
Super-App
Músicas
Saúde
Vida

13. What
China
Taught
Us
About
Internet

14. Mobile First

15. Future is Mobile, Period.
2.1
3.0
3.9
4.6
5.7
6.5
6.8
0.4
1.0
2.0
2.8
5.2
4.3
5.7
6.5
6.2
7.3 7.9
0
1
2
3
4
5
6
7
8
9
Usuários de Internet móvel e Internet via PC 2007-2015
Usuários de
Internet via PC
Usuários de
Internet móvel
Em 2012, o número de usuários de Internet
móvel superou o de usuários via PC
2007 2008 2009 2010 2011 2012 2013 2014 2015
Obs.: Usuário de Internet móvel é aquele que usa o serviço, em média, pelo menos uma vez em cada trimestre. Usuários anuais
são aqueles ativos até o final do quarto trimestre. O mesmo critério aplica-se aos usuários da Internet via PC.
© Analysys 易观 www.analysys.cn
x 10 milhões de pessoas

16. Most of Revenue will be Mobile too
43% 45%
53%
44%
37%
70%
90%
32%
37%
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
Taxa de comercialização da Internet móvel das principais empresas
2013-2015
2013 2014 2015
82%
Tencent Alibaba Baidu JD VIP.com NetEase Ctrip Meituan-Dianping Sohu Qihoo 360
Obs.: 1. A taxa é a percentagem da receita via Internet móvel no total; 2. Dados extraídos do relatório financeiro das empresas, dados não revelados
foram estimados com base em entrevistas e modelos desenvolvidos pela Analisys
© Analysys 易观－Relatório financeiros das empresas www.analysys.cn

17. In Mobile, M-Commerce is Dominant &
O2O Holds Great Potential
49.1%
30.6%
15.6%
8.8% 7.4% 6.6% 5.7%
6.3%
4.9%
3.1%
2.3% 1.8% 1.6% 1.3%
37.4%
55.3%
64.1%
67.4% 66.7% 64.7% 63.7%
2.8%
3.6%
3.8%
33
..
66%
% 6.4%
13.7%
3.5%
18.6%
2.9%
20.9%
3.2%
23.5% 25.5%
0%
20%
40%
60%
80%
100%
2012 2013 2014 2015 2016F 2017F 2018F
Projeção da estrutura do mercado da Internet móvel 2016-2018
© Analysys 易观 www.analysys.cn
Taxa de tráfego Entretenimento móvel Compra móvel Marketing móvel Servico móvel

18. Innovations Vary

19. China has Solid Hard Technology,
But Best at Improving Efficiency
China probably will the only
country that owns space
station by 2024, when the
International Space Station
(ISS) retires. China plans to
land astronauts on the moon
by 2030.
China sets the world record of 600Km/h
of bullet train speed and builds 20,000
Km -high speed railway network(more
than the sum-up of the rest of the
world) .
70% of world’s drones are made by
one single Chinese manufacturer, DJI.

20. E-Commerce Innovation

21. Chinese E-Commerce Goes
Through Insightful Phases
Fase 1.0
Fase 2.0
Fase 3.0
Preço baixo é o foco
do consumidor e a
base da
competitividade.
O consumidor passa a
privilegiar marca,
qualidade, logística e
pós-venda.
Preço e serviços não
bastam, consumo
experimental e
serviços diferenciados
são novas atrações.
Preço Qualidade Experiência
Feira
Varejo/departamento
produtos diferenciados
Fase 4.0
Necessidades
doconsumidor
comércio
contextualizado
Identidade
O consumo é evocado
em contextos e cenários
específicos, onde há
simpatia e identificação
– por exemplo nas
mídias sociais.

22. Content Innovation

23. China Changes the Way
How to Distribute Content
音频 视频 工具
Novos modelosPortais AlgoritmosRedes sociais
Forma de informação geração 1.0 Forma de informação geração 1.5

24. Service Innovation

25. Online-to-Offline Reaches Unprecedented Heights
Source:
26 Unicorns in China O2O Market

26. O2O Changes Service Consumption Habit
Source: http://www.sootoo.com/content/659761.shtml
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
bilheteria bilheteria
on-line off-line
Evolução da bilheteria de off-line para on-line entre 2013 e 2015
2013Q1 2013Q2 2013Q3 2013Q4 2014Q1 2014Q2 2014Q3 2014Q4 2015Q1 2015Q2 2015Q3 2015Q4 2016Q1 2016Q2
© Analysys 易观智库 www.analysys.cn

27. The Future is Now

28. The Biggest VR Battle Field
+100 VR Devices Developed in China &
40% World’s VR Devices Sold to China
Entertainment
Tourism
Film
Game
Showbiz
Consumer
E-Commerce
Test-Drive
Real Estate

29. AI is the New Brain
Driverless Car
Voice &
Facial
Recognition
97% & 99.77%
“China has now eclipsed
us in AI research”
– The Washington Post
KITTI vehicular recognition accuracy
rate: 90.13%, highest in the world.

30. China Internet Evolves Fast:
PC->Mobile->Intelligent Internet

31. Baidu Brasil

32. Mobile - 7 Swordsmen & 1 Hero
Du Battery
Saver
Du Speed
Booster
Baidu
Browser
Mobo
Market
ES File
Manager
Photo
Wonder
Du Emoji
Keyboard
27 MM
Monthly Active
Users
400
Clients
150MM
Daily Ad Requests
DAP - Du Ad
Platform

33. PeixeUrbano – A Role Model in Local Synergy with Baidu
GMV: +100% YOY
Market share： 70%
Brand
Awareness：No.1
Baidu acquired PeixeUrbano in Oct. 2014,
when PU was half-size of it main rival and
now No.1 local service marketplace in Brazil

34. ABO2O – The Gardener of Brazil O2O Ecosystem
+80 Players

35. Easterly Ventures – The Fund with Unique Profile
• USD $60 million Brazil-based
investment fund
• Brazil’s first Internet
investment fund to provide
startups with the capital,
technology, traffic and
experience necessary to
penetrate national and
international markets
• 10~15 Brazilian startup
companies to be invested,
with min. ticket of U$1MM